Company future success vs. potential declines from structure

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Reference no: EM132277403

1. For ten years, Google had a trio running the company. This team was Eric Schmidt as CEO, and the two co-founders, Larry Page and Sergey Brin. The chapter opens with Luxottica, the world's largest eyewear company, being analyzed for a similar structure. The key discussion is around the company's future success vs. potential declines from this structure. Why would analysts be skeptical of this type of organizational structure?

a. The employees might not know who would be the best to deliver suggestions or reports to

b. The Board of Directors being unable to keep two CEOs focused on all stakeholders, as it is hard enough to keep one aligned

c. The lack of leadership and capabilities of decision making

2. Decide which of the following statements is more accurate:

a) Organizations that treat their stakeholders ethically will be less profitable than their more "ruthless" competitors in the long-run.

b) Organizations that treat their stakeholders ethically will be more profitable than their "ruthless" competitors in the long-run.

c) There really is no link between ethics inside an organization and long-run profitability.

Why do you believe this?

Reference no: EM132277403

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